Reptile Forum, Reptile Classifieds - CaptiveBred

Jase · Posted: Mon Jul 02, 2007 3:28 pm Post subject: Taxes

How do you 'hobbyist' breeders avoid massive tax bills? Or don't you? Confused

Just a completely random thought when trying to apprehend about how many herps people sell.

Surely if you have a full time job the taxman must screw you for your second income from selling? Mad

Or is it the case that your occupation is reptile breeder and do not have alternate employment? Confused

I'm not wanting to know your financial status, just interested if taxes are avoidable for the 'hobbyist' breeder?

Embarassed

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A lil bit of Madagascar

Central Scotland Reptiles · Posted: Mon Jul 02, 2007 5:20 pm Post subject:

The Eggman - That is not strictly true. As far as the tax man is concerned, any monetary gain you make. Be it selling reptiles, items via ebay etc etc etc. Really should, technically, be declared.

Just how the tax man would police every private hobbyist or seller is another thing. The fact it would be difficult to enforce doesn't mean it is right ( in the eyes of the law ).

Although, having said this. By the time you pay for all your overheads i.e. feeding, heating, vets costs. Any profit would, in most cases, be nil.
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Fraser Gilchrist
Central Scotland Reptiles - "Finding Beauty in the Beasts"

Central Scotland Reptiles · Posted: Mon Jul 02, 2007 6:06 pm Post subject:

That was exactly what i said!!! Laughing

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Fraser Gilchrist
Central Scotland Reptiles - "Finding Beauty in the Beasts"

Central Scotland Reptiles · Posted: Mon Jul 02, 2007 10:30 pm Post subject:

Apologies Eggman, maybe my choice of word was incorrect. Basically though we are saying the same thing.

The 'official' line is that ANY additional income MUST be declared. Whether you ( i use that term loosely ) declare it or not is very much up to the individual. Just be fully aware of the consequences.
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Fraser Gilchrist
Central Scotland Reptiles - "Finding Beauty in the Beasts"

Jase · Posted: Mon Jul 02, 2007 10:39 pm Post subject:

So essentially, even though its a hobby the extra income is taxable? Is it dependent on the amount, like income allowance before tax? Confused

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A lil bit of Madagascar

BallGuy · Posted: Mon Jul 02, 2007 11:22 pm Post subject:

It is called income tax as it is supposed to be applicable on all income. Your tax code will take into account your allowance before tax is applicable .so if it is your only source of income and below the tax threshold then there would be no tax applicable, but you are still supposed to declare it. It is you that has the duty of care to prove the nature of all monies passing through your bank account.

So keep it under your mattress is my advice.
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“If in doubt, just say nowt”

Central Scotland Reptiles · Posted: Tue Jul 03, 2007 9:57 am Post subject:

BallGuy - I would have to agree with you on that one. Tax is / can be a very sticky area.
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Fraser Gilchrist
Central Scotland Reptiles - "Finding Beauty in the Beasts"

BallGuy · Posted: Tue Jul 03, 2007 3:45 pm Post subject:

Cheers Fraser, I'm no expert, but the department next to mine all claim to be both in personal and corporate tax matters, so I would hope in the last 10 years, I've picked up a little knowledge.

Mind you that takes the form of fear taxes and always err on the side of caution.

Only two certanties in life...

Death and Taxes!
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“If in doubt, just say nowt”

Central Scotland Reptiles · Posted: Tue Jul 03, 2007 4:56 pm Post subject:

BallGuy - I would have to agree with you on that also!!!! Laughing

I was wondering when someone would bring the subject of tax up.
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Fraser Gilchrist
Central Scotland Reptiles - "Finding Beauty in the Beasts"